NASDAQ$GSHD

Goosehead Insurance Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Growth accelerated with revenue growth of 53% to $31.2 million.

Goosehead Insurance reported strong first quarter results with a 53% increase in total revenues to $31.2 million and a 49% increase in total written premiums to $319 million. The company is raising its full-year 2021 outlook for total written premiums and revenue.

  • Total Revenues grew organically 53% to $31.2 million.
  • Core Revenues of $26.7 million increased 47%.
  • Total written premiums placed increased 49% to $319 million.
  • Corporate sales headcount of 363 was up 51% year-over-year and total franchises increased 61%.

Headline financials

Total Revenue

$31.2M

Previous: $20.4M+52.9%
EPS (adj)

$0.03

Previous: $0.08-62.5%
Policies in Force

788.0K

Previous: 530.0K+48.7%
Client Retention

88.0%

Previous: 88.0%+0.0%
Premium Retention

90.0%

No prior period
Net Promoter Score

92

Previous: 89+3.4%
Capital Expenditures

-$1.95M

Previous: -$967K-101.1%
Free Cash Flow

-$2.34M

Previous: -$1.12M-108.5%
Net Income

-$396K

Previous: -$156K-153.8%
Operating Income

-$802K

Previous: $201K-499.0%
Gross Profit

$31.2M

Previous: $20.4M+52.9%
Cash & Equivalents

$30.8M

Previous: $10.8M+184.3%
Total Assets

$193M

Previous: $75.9M+153.8%
Stock-Based Comp

$1.94M

Previous: $498K+289.8%

Revenue & EPS history

Goosehead Insurance · Revenue · Quarterly

$31.2M

Q1 2021+52.9%vs Q1 2020
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Goosehead Insurance · $58M total across 3 segments · Q1 2023

  • Core Revenue
    $52M+42.4%
  • Cost Recovery Revenue
    $3.46M+32.3%
  • Ancillary Revenue
    $2.51M+16.2%

Forward guidance

The Company is raising its full-year 2021 outlook with respect to total written premiums and revenue.

Tailwinds

  • Total written premiums placed for 2021 are expected to be between $1.50 billion and $1.56 billion, representing organic growth of 40% on the low end of the range to 45% on the high end of the range.
  • Prior guidance issued was for organic premium growth between 38% and 44%.
  • Total revenues for 2021 are expected to be between $146 million and $156 million, representing organic growth of 25% on the low end of the range to 33% on the high end of the range.
  • This assumes continued strong growth in Core Revenue and a return in 2021 to a more normalized level of Ancillary Revenue following a record year in 2020.
  • Prior guidance issued was for organic revenue growth between 23% and 32%.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+1.7%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+1.5%

Avg return

30 days after

43%

15 / 35 earnings

Positive

+25.8%

Q2 2024

Best reaction

-18.6%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.5%+7.4%-8.6%
Q4 2025-6.4%-9.5%-16.2%
Q3 2025+8.1%+7.8%+3.9%
Q2 2025-0.5%+2.4%-6.7%
Q1 2025-12.0%-9.4%+2.7%
Q4 2024+15.9%+16.6%+14.2%
Q3 2024+13.2%+14.6%+32.2%
Q2 2024+25.8%+31.1%+19.0%
Q1 2024-11.5%-5.3%+7.2%
Q4 2023-18.6%-15.2%-19.7%
Q3 2023-5.8%-7.8%+4.3%
Q2 2023+4.5%+0.7%-10.1%
Q1 2023+7.3%+5.7%+0.6%
Q4 2022+17.5%+15.7%+29.4%
Q3 2022+15.2%+20.1%+15.0%
Q2 2022+20.4%+12.4%+10.8%
Q1 2022-3.2%+0.3%-9.4%
Q4 2021-0.8%+1.7%-10.8%
Q3 2021-4.2%-9.8%-12.3%
Q2 2021-6.5%-5.2%+8.1%
Q1 2021-3.2%-10.2%-20.9%
Q4 2020-10.6%-21.7%-30.6%
Q3 2020+14.5%+15.6%+14.8%
Q2 2020+21.7%+25.0%+18.9%
Q1 2020-0.1%+1.3%+4.3%
Q4 2019+1.7%+5.1%-6.9%
Q3 2019-16.9%-14.4%-20.8%
Q2 2019-3.7%-2.6%+2.7%
Q1 2019+16.6%+11.6%+22.3%
Q4 2018-7.6%-6.1%-0.1%
Q3 2017-11.9%-21.3%-26.3%
Q3 2018-11.6%-21.7%-29.6%
Q2 2017-4.8%-3.2%+15.6%
Q2 2018-3.2%-0.4%+10.8%
Q1 2018+7.7%+21.5%+43.5%
Q4 2017
Q1 2017

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